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11. Subsequent Events
3 Months Ended
Mar. 31, 2020
Subsequent Events [Abstract]  
11. Subsequent Events

The Company entered into a loan with Bank of America, NA in an aggregate principal amount of $1.1 million (the “BofA Loan”) evidenced by two promissory notes dated April 30, 2020 and May 1, 2020. The BofA Loan matures two years from the funding date and bears interest at a fixed rate of 1.00% per annum, with the first six months of interest deferred. Principal and interest are payable monthly commencing six months after the funding date and may be prepaid by the Company prior to maturity without a prepayment penalty. Subject to the Company’s satisfaction of certain terms and conditions, all or a portion of the BofA Loan may be forgiven. Such forgiveness will be determined, subject to limitations, based on the use of loan proceeds for covered payment of payroll costs, mortgage interest, rent and utilities. However, no assurance is provided that the Company will be able to satisfy any or all of the conditions necessary for forgiveness for any portion of the BofA Loan.

 

On May 13, 2020, Aemetis entered into the first amendment to the Amended and Restated Heiskell Purchasing Agreement, dated May 16, 2013, between Aemetis and J.D. Heiskell (the “J.D. Heiskell Purchase Agreement”). The amendment, among other things, removes J.D. Heiskell’s obligation under the J.D. Heiskell Purchase Agreement to purchase and market ethanol from Aemetis and grants J.D. Heiskell certain protective rights over its Collateral (as defined therein) held by Aemetis.

 

On May 13, 2020, Aemetis entered into the first amendment to the Amended and Restated Aemetis Keyes Grain Procurement and Working Capital Agreement, dated May 2, 2013, between Aemetis and J.D. Heiskell (the “J.D. Heiskell Procurement Agreement”). The amendment, among other things, modifies certain terms and conditions governing the procurement of Grains (as defined therein), including the calculation of true-up amount and settlement mechanics. Additionally, the amendment requires Aemetis to build up a cash deposit for J.D. Heiskell to cover the costs of Grains purchased over weekends.

 

On May 13, 2020, Aemetis entered into the Eighth Amended and Restated Promissory Note with Third Eye Capital which waived covenant violations that existed as of March 31, 2020.